Gold price continues to trade within the larger trading range since late March. The price continues to move back and forth around the Ichimoku cloud. This confirms that the current trend is neutral and it is preferred to stay neutral as there is no clear direction in this market.
Red line = support
Green line= trend line support
Blue line = resistance
Gold price is trading sideways. As it can be seen in the 4-hour chart above, the price holds above the green trend line and continues to trade between $1,222 and $1,180. Bulls could take shot at the current levels with stops placed at $1,190. On the other hand, bears could try to stop that with a short-term stop at $1,210 where we saw three short-term highs.
In a longer time-frame chart, we continue to observe that the Ichimoku indicators point lower. The trend remains bearish as the price is below the cloud, it is below the kijun-sen (yellow line) and the tenkan-sen is negatively sloped. The price remains trapper between the kijun- and the tenkan-sen and has also made a high at the 50% retracement. All indications from this weekly chart imply a break below $1,180 to be a new sell signal that will put $1,130 to the test. If bulls fail to support the price at $1,130, we should expect $1,000 to be tested soon.
